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A firms current profits are $1 300000 These profits are expected to grow indefinitely at a constant annual rate of 3 percent If the firms opportunity cost of funds is 6 percent determine the v

A firm's current profits are $1, 300,000. These profits are expected to grow indefinitely at a constant annual rate of 3 percent If the firm's opportunity cost of funds is 6 percent determine the value of the firm: a. The instant before it pays out current profits as dividends. $ million b. The instant after it pays out current profits as dividends. $ million
 

Apr 06 2020 View more View Less

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